Upon seeing the huge market potential for durian-processed foods at the 20th China-ASEAN Expo (CAEXPO), the Department of Trade and Industry (DTI) aims to ensure a year-round supply of the fruit, including frozen durian to China.
Speaking online with reporters from Nanning, Trade Undersecretary for the Industry Development Group (IDG) Ceferino S. Rodolfo said the DTI is targeting Filipino durian produce to dominate the Chinese market just like its banana exports.
Last January, an agreement was signed between the Philippines and China upon President Ferdinand R. Marcos Jr.’s visit to Beijing, granting the same market access as Thailand, Vietnam, and Malaysia for Philippine fresh durians in China.
As frozen durian is not included in the signed protocol, the DTI said that it would work on the supply of frozen durian with the Department of Agriculture.
Since January, trade sales of Philippine durian have reached around $1.8 million in the China durian market.
Stating his observations, Froilan Pamintuan, DTI Commercial Officer in Guangzhou said, “I think there’s still a lot of space for durian suppliers” because other suppliers, whether from Thailand, Vietnam, or Malaysia, are not yet fully meeting the requirements of China.
China has been the biggest importer of fresh durian in the world reaching $3.8 billion in the first half this year with Thailand and Vietnam as top suppliers. In the first half this year, Thailand’s exports of fresh durian to China reached $3 billion while Vietnam’s export hit $827.995 million. The Philippines was able to export a measly $1.882 million worth of fresh durian in the first half this year.
Asked about the Philippines’ advantage over Thailand and Vietnam, he said Filipinos’ durian products are "sweet and creamy," as a common description from Chinese customers upon tasting.
Rodolfo also stressed the need to ensure that Filipino producers can meet the supply-demand of Chinese buyers “to be able to get a good market share of the China durian market, especially given that the price is good."
According to Pamintuan, many Chinese buyers have already expressed curiosity about durian coming from Davao, since the first shipment arrived in Nanning, China, however, the supply-capacity issue came into play.
"In fact, here in the Southern part of China, we encountered some potential buyers who were seeking possible sources of durian but weren't able to be served by Philippine suppliers because of capacity constraints," he said.
China is the Philippines' largest trading partner for six consecutive years, importing various fruits like bananas, pineapples, coconuts, and avocados from the Philippines.
During the CAEXPO held in Nanning, DTI reported that durian candies were the Philippines’ top-selling products, followed by banana chips and calamansi juice drinks.
Rodolfo also emphasized that most exhibitors had their products sold out, interestingly, at higher prices than what they apply locally. (Ma. Joselie C. Garcia)